paycheck protection program

Much Needed Clarity on PPP Loan Forgiveness

The U.S. Senate and House of Representatives have both passed a new COVID-19 relief bill, which was signed into law by President Trump. Among many other things, this bill addresses the tax implications of the Paycheck Protection Program (PPP). After almost a year of uncertainty and conjecture, we have some clarity about the taxability of [...]

2020-12-28T14:27:44-06:00December 28th, 2020|COVID-19, SMALL BUSINESS|

A Quick Guide to Your PPP Loan and Tax-Related Questions

Small businesses all around the country have taken advantage of the Paycheck Protection Program (PPP), a federal program designed to help companies keep employees paid and their operations running during the COVID-19 pandemic. Although widely successful, many questions surrounding PPP and the 2020 tax year have many taxpayers wary about the upcoming tax season, particularly [...]

2020-12-09T14:38:51-06:00December 9th, 2020|BUSINESS TAX, COVID-19, SMALL BUSINESS, TAX CONTROVERSY|

Paycheck Protection Loan Forgiveness—More Guidance is Needed

In Revenue Ruling 2020-27 and Revenue Procedure 2020-51, the IRS finally provided much-needed guidance on the timing of the taxability of the forgiveness of Paycheck Protection Program (PPP) loans. The guidance effectively states that the income tax effect will occur in the year in which forgiveness is reasonably foreseen. For most taxpayers, this will be the 2020 calendar [...]

Clarity – Handling Deductions Associated with PPP Loans

The Paycheck Protection Program (PPP) is a key component of the CARES Act passed in late March 2020. The PPP program provided loans to businesses struggling in the wake of the economic impact of COVID-19. PPP loan proceeds used by businesses to pay employee compensation and other eligible expenses are eligible to be forgiven. In [...]

2020-11-19T16:14:28-06:00November 19th, 2020|BUSINESS SUPPORT, BUSINESS TAX, COVID-19, SMALL BUSINESS|

PPP Guidance: Change of Ownership

The Small Business Administration (SBA) has recently issued guidance related to changes in ownership of an entity with a Paycheck Protection Program (PPP) loan. This new guidance will provide additional information and clarity regarding the PPP. Change in Ownership A change in ownership is considered to have occurred when at least 20% of the ownership [...]

2020-10-12T12:09:20-05:00October 12th, 2020|COVID-19|

Latest Guidance Answers Common Questions on Federal Loan Programs

The U.S. Small Business Administration (SBA) and the U.S. Department of the Treasury recently addressed a handful of frequently asked questions (FAQs) concerning the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) Program. These programs have been lifelines for many businesses whose operations have been affected by the coronavirus pandemic, and only [...]

2020-09-08T18:16:09-05:00September 8th, 2020|BUSINESS TAX, COVID-19|

How the Paycheck Protection Program Affects Nonprofit Organizations

The terms COVID-19, CARES Act, Paycheck Protection Program (PPP), and PPP Flexibility Act of 2020 (PPP Flexibility Act), are likely now a part of your daily vocabulary. The introduction of these new programs means that there are now some important considerations that your nonprofit organization should be aware of as you continue to navigate through [...]

2020-07-20T14:16:35-05:00July 14th, 2020|NOT-FOR-PROFITS, REVENUE RECOGNITION|

Back to Profitability: How Small Businesses Can Emerge Stronger from Crisis

“Bad businesses are destroyed by a crisis; good businesses survive them; great businesses are improved by them.” —Andy Grove, former CEO, Intel There’s nothing like a crisis to give people clarity and crystallize the fundamentals of running a successful business. Although this crisis has been unlike anything we’ve seen before in our lifetimes, it has [...]

Paycheck Protection Program (PPP) Approved for Five Week Extension

On Tuesday, June 30, just hours before the application window for the Paycheck Protection Program (PPP) was scheduled to close, the U.S. Senate unanimously passed a five-week extension. The House of Representatives followed suit, and the act was signed into law by the President on July 4, 2020. The intention behind this extension is to [...]

2020-07-06T09:00:57-05:00July 6th, 2020|COVID-19|

SBA Provides Guidance and Extends Deadline for the Good Faith Certification

The SBA, in consultation with the Department of the Treasury, on May 13, 2020, issued additional guidance for the Paycheck Protection Program (PPP) in the form of Frequently Asked Questions. The guidance relates to the Good Faith Certification that “current economic uncertainty makes this loan request necessary to support the ongoing operations of the Applicant.” [...]

2020-06-09T08:51:00-05:00May 14th, 2020|CONSTRUCTION, COVID-19|

IRS Denies Tax Deductions for Paycheck Protection Expenses

The IRS released a notice on April 30, 2020, stating that tax deductions for wages, mortgage interest, and rent paid with forgivable Paycheck Protection Program (PPP) loans are not permitted, viewing it as a “double-dipping” of tax benefits provided. Specifically, the notice clarified that no deduction is authorized under the Internal Revenue Code for an [...]

2020-05-04T18:13:29-05:00May 4th, 2020|BUSINESS TAX, COVID-19|

Maximizing PPP Forgiveness

UPDATE: As of April 24, 2020, the federal government approved replenishment funding for the PPP by way of the Paycheck Protection Program and Health Care Enhancement Act. Learn more. As applicants receive their Paycheck Protection Program (PPP) loan proceeds, their focus is quickly shifting to the maximization of the estimated PPP forgiveness. Unfortunately, specific guidance [...]

2020-06-09T08:52:11-05:00April 23rd, 2020|CONSTRUCTION, COVID-19, SMALL BUSINESS|

COVID-19 Alert: EIDL and PPP Relief Options Experience Lapse in Funding

Economic Injury Disaster Loans (EIDL) As of April 16, 2020, the Small Business Administration (SBA) noted on its website that it is currently no longer able to accept new applications for the Economic Injury Disaster Loan (EIDL) assistance program (including EIDL advances) based on available appropriations funding. Please note that if you have already submitted [...]

2020-04-16T12:38:55-05:00April 16th, 2020|COVID-19|

PPP Guidance for Self-Employed Individuals

UPDATE: As of April 24, 2020, the federal government approved replenishment funding for the PPP by way of the Paycheck Protection Program and Health Care Enhancement Act. Learn more. The Small Business Administration (SBA) has released much-anticipated guidance for self-employed individuals and independent contractors (self-employed individuals) that are applying for a Paycheck Protection Program (PPP) loan. [...]

2020-04-24T13:39:22-05:00April 15th, 2020|CONSTRUCTION, COVID-19, HEALTHCARE, SMALL BUSINESS|

Q & A: Paycheck Protection Program for Small Businesses

UPDATE: As of April 24, 2020, the federal government approved replenishment funding for the PPP by way of the Paycheck Protection Program and Health Care Enhancement Act. Learn more. The recently passed Coronavirus Aid, Relief, and Economic Security Act, or the CARES Act, has earmarked nearly $350 billion in a relief program through the Small [...]

CARES Act – Paycheck Protection Program and SBA Economic Injury Disaster Loan (EIDL) – Loan Forgiveness and Advances

As of April 16, 2020, the Small Business Administration (SBA) noted on its website that it is currently no longer able to accept new applications for the Economic Injury Disaster Loan (EIDL) assistance program (including EIDL advances) based on available appropriations funding. Please note that if you have already submitted your application, that the SBA [...]

2020-04-16T14:01:05-05:00March 30th, 2020|COVID-19, DISASTER RECOVERY, SMALL BUSINESS|

Main Street Lending: Introduction to the Paycheck Protection Program (PPP)

UPDATE: As of April 24, 2020, the federal government approved replenishment funding for the PPP by way of the Paycheck Protection Program and Health Care Enhancement Act. Learn more. One of the most notable parts of the CARES Act is the opportunity for loan forgiveness through the Paycheck Protection Program (PPP). What is it? How [...]

CARES Act, Division A – Small Business Assistance – Keeping Workers Paid and Employed Act

Small business employers have been impacted especially hard by the unprecedented fallout of the COVID-19 pandemic as many businesses have been forced to temporarily close, change their service delivery methods, and incur additional expenses or reduced revenues. As these entities now grapple with the reality of dealing with these new economic conditions, congress provided relief [...]

2020-03-28T14:02:01-05:00March 26th, 2020|COVID-19, SMALL BUSINESS|